What is a dividend?
A dividend is a distribution of a portion of a company’s earnings to a class of its shareholders, determined by the board of directors. Dividends can take the form of cash payments, as shares of stock, or other property.
What is an ex-dividend date?
The ex-dividend date, generally 2 days before the record date, determines eligibility to receive the upcoming dividend. The investor must own the shares prior to the ex-dividend date to receive the scheduled dividend.
What is the dividend yield?
The dividend yield is a percentage calculated by sum of the last four quarterly dividends divided by the price of the stock.